President Shavkat Mirziyoev signed a Decree "On measures for
radical improvement of tax administration, increase tax collection and other
obligatory payments.

The Decree notes that the country
has formed a tax system that provides a consistent reduction of the tax burden
and creating a favourable climate for business development and attracting
foreign investment.

However, certain problems in the
field of tax administration, including tax collection and other obligatory
payments, expanding the tax base and improving the legal culture of taxpayers
have a negative impact on sustainable sources of financing of programs of
socio-economic development of the country.

Objectives defined in the Action
Strategy for 2017-2021 provide for the gradual simplification of the tax
system, reducing the tax burden by expanding the tax base, the introduction of
modern methods of tax administration, increasing the collection of tax and
other obligatory payments. Following the above mentioned, the Decree has
defined the below as the most important directions in the reforming of the
state tax service:

first - widespread introduction of modern
information and communication technologies and advanced automated analysis
methods in the process of tax administration, a full transition to contactless
electronic service for taxpayers, primarily businesses;

second – ensuring timely and
accurate accounting of objects of taxation and the tax base, strengthening the
responsibility of officials of the competent authorities and organizations for
the timely provision of reliable information related to tax matters;

third – providing all-round
assistance to taxpayers in fulfilling tax obligations, developing effective
mechanisms of prevention of tax offences and increasing the legal culture of
taxpayers, the introduction of modern methods of tax control;

fourth - implementation of effective
measures to ensure the full inclusion of objects of taxation and expanding the
tax base through a systematic analysis of the dynamics of macroeconomic
variables and tax potential of regions;

fifth - expanding the tax base by
providing comprehensive assistance in the restoration of non-functioning
enterprises, improvement of the financial condition of low-margin and
loss-making enterprises, strengthening the settlements, preventing the growth
of tax arrears;

sixth - further expansion of
cooperation with financial authorities, concerned ministries and departments
and state authorities in tax matters, including by identifying additional
reserves of increase in incomes of the Republican and local budgets.

China to invest in Uzbek sericulture

The Uzbekipaksanoat Association
officials have met with representatives of Chinese companies, who intend to
invest $276 million this year in the development of the silkworm industry in Uzbekistan.

The two sides discussed the issues of promotion of mutually beneficial
cooperation in growing grains; cocoon processing, manufacture and exports of
finished products. They reached an agreement on the supply of ten million
saplings of mulberry tree of three varieties friendly to the climatic
conditions of the republic this year, as well as up-to-date technologies for
their cultivation.

Established by the Presidential Decree on March 29, 2017, the
Uzbekipaksanoat Association is expected to boost the silkworm industry in the
country and ensure the increase of the total share of silkworm cocoon
processing to 50% by 2021.

As analysis shows, the production of silkworm grains is the weakest link
in the country’s sericulture. The use of outmoded and obsolete equipment does
not meet all the needs of the cocoon economies of the republic. 230-250,000
boxes are annually imported to cover the deficit of silkworm grains, which
makes up 50% of demand of industry enterprises.

According to experts, the existing mulberry plantations are not used
efficiently, and mulberry yields fall significantly in the winter period.

Strengthening and expansion of forage reserves, creation of silkworm
cocoon complexes in the immediate vicinity of the mulberry plantations,
importing of high-yielding (cold-resistant) mulberry seedlings that produce
twice as much yield, will allow increasing the volume of cocoon harvesting by
35,000 tons (135%), and ensure the production of goods with high added value,
including silk yarn and finished silk products.

It is expected that by 2021, the total share of silkworm cocoon
processing volumes will be brought to 50%, paving the way to new jobs and an
increase in foreign currency inflows through exports.

On July 19, 2017, the delegation of the Ministry of Foreign Affairs of
the Republic of Uzbekistan
held a meeting with the experts of the European Investment Bank (EIB) at the
Bank’s headquarters in Luxembourg.

The parties discussed the draft of
the Framework Agreement on the EIB activities in the territory of Uzbekistan.

During the conversation it was noted
that substantial progress has been made in the text of the draft agreement as a
result of the two teleconferences, that were held between the experts of the
Bank and the competent agencies of Uzbekistan on the 10th and 12th of July,
2017.

At the meeting, the experts approved
the draft and reached an agreement on completing the internal procedures for
signing the above-mentioned document in the near future.

The World Athletics Championships among Paralympics athletes is in
progress in London.
Uzbekistan
is represented by seven athletes. The first awards in the stock of the national
team were two gold medals.

The first award of the highest
dignity was won by Husniddin Norbekov. In competitions on throwing a disk, he
showed the result at the first attempt 54.73 m.

Recall, at the World Championship in
Doha (Qatar) in 2015, Norbekov also won a
gold medal with a score of 53.81 m. At the London Paralympics 2012 he set a
world record with a score of 59.75 m.

Husniddin Norbekov said that he was
pleased with the result, although he could have been better - the athlete
expected to throw a disk further than 60 m. But he will still have a chance for
a turn to reveal himself - on July 23 he will take part in the shot put
contest.

Paralympics athlete Doniyor Saliev
became the world champion in long jump and updated the Asian record. In the
competitions he showed a result of 7.18 m.

“Five years ago I was here in a
triple jump and took the seventh place. Now - the world champion”, - shared his
impressions Doniyor. "It's hard to describe in words what I feel. My first
world title is a very important achievement in my career, like the Asian
record. I enjoyed every moment of the competition and even hoped for more - I
expected to jump more than 7.20 m. This award belongs to my people, parents, my
trainer, our President. I worked hard to achieve this goal.